Report on state of unemployment in India

India is going through the demographic transition, that is once an opportunity for any country. In this phase, there are more young people than older people. This can help in massive development in the country.

However, in the case of India, the massive bulk population has not been provided job opportunities to optimum levels. According to ILO, in 2018, it was at 1.8 crores.


  • Jobless growth SME sectors that provide jobs have been languishing especially after demonetization and GST.
  • Automation of respective tools. According to W and F, 54% of jobs will be absolute due to automation.
  • Education not in synchronous with industry levels.
  • Not much political interest. Past 15 years have seen jobless growth.
  • Lack of risk-taking appetite and job-seeking mentality. This leads to asking for jobs by more people.
  • Jobs are in the unorganized sector that is not accounted for.

Government steps:-

  • MSME sector has been given the rush by resolving the NBFC liquidity issue.
  • Make in India program. Exp: Many electronics players will manufacture in India.
  • Angel tax relaxation to help star tum culture.
  • Ease of doing business rank has improved.

Way forward:-

However, the problem the unemployment is huge. A huge change is required.

  • Labor law reforms needed so that there is no incentive to remain a small player.
  • MSME sector to be focused.
  • Export should be encouraged by signing FTAs, RC and P with adequate safeguards.
  • India should make products that are of superior quality so that demand increases.

Through government has taken steps, it is time to have an overhaul. This will ensure that the DPSP principle of adequate livelihood opportunity is realized and makes India use its demographic dividend.

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